According to a recent Royal LePage First-Time Homebuyers Report, first time home buyers were surveyed as to the motivating factors impacting their decision to enter the real estate market:
- 86% of potential first time home buyers say low interest rates make them more likely to purchase a home
- 81% cite lower housing prices as a motivating factor
- 76% cite job security
- 64% cite a stable economy as an important factor in their decision to buy.
In the Greater Toronto market, condominiums continue to attract first-time buyers with location and affordability serving as the leading driving indicators. The First-Time Homebuyers Tax Credit and the increased RRSP deduction limit are proving great incentives for this demographic. According to Royal LePage, first time buyers are approximately 25 to 30 years old with equal portions of couples versus single individuals purchasing. Couples are spending up to $400,000 of the first purchase and singles (dominated by females) purchasing within the $250,000 to $300,000 price range.
